Foodbank Donations

Savvy_Sue

Undervalued wrote: »

Interesting thanks.

Assuming your local FB is a charity with a turnover of £5K or more per year, detailed accounts can be downloaded from the Charity Commission website.

Yes, I'm sure they'd be available somewhere, but I know some of the local FBs operate under the management of another charity, which could make separating everything tricky. Really I just wanted to give an example of the range of support a FB needs.

Undervalued wrote: »

That's interesting, thanks.

I would imagine 20% is somewhere close to their average markup, so effectively they are passing it on at cost price. Obviously there is no VAT involved on food. I don't know enough about the tax position to know if the FB can recover whatever tax Tesco would have paid on the 20%?

Working for a completely different kind of charity, I'm not aware of anything we can do to reclaim tax on 'gifts in kind' from either individuals or companies. It's not my area of expertise, but I think if we could it would have crossed my radar ...

Undervalued

Savvy_Sue wrote: »

Working for a completely different kind of charity, I'm not aware of anything we can do to reclaim tax on 'gifts in kind' from either individuals or companies. It's not my area of expertise, but I think if we could it would have crossed my radar ...

Yes but Tesco (as I read it) are giving them 20% of the approximate value of the food that individuals have donated. I assume they are doing this in cash, not by giving 20% more food?

Savvy_Sue

Undervalued wrote: »

Yes but Tesco (as I read it) are giving them 20% of the approximate value of the food that individuals have donated. I assume they are doing this in cash, not by giving 20% more food?

D'oh. You're quite right (the link Norman Castle gave confirms this).

However, I am still not aware of anything the charity can do to reclaim tax on gifts from companies. (From individuals who Gift Aid, there is of course that option, and there USED to be a sort of companies Gift Aid but I haven't come across it for a few years.)

Actually, having Googled, I can confirm that the company can claim tax relief against their corporation tax, but the charity can't claim any more.